Moody's: Wyndham notes at Ba1

Moody's Investors Service said it assigned a Ba1 (LGD 4, 60%) rating to Wyndham Worldwide Corp.'s proposed $250 million of senior notes due 2021. Wyndham's Ba1 corporate family rating was affirmed.

The outlook is positive.

The proceeds of the notes will used repay existing debt, including the company's 3.5% convertible notes and borrowings under its revolving credit facility, and general corporate purposes.

Wyndham's ratings reflect its leading market share in each of its three business segments and the high margins and low capital intensity of its hotel franchise and vacation exchange and rental segments, the agency said.

The ratings consider the risk of the lower margin and more capital intensive vacation ownership segment, the agency added.

Wyndham's 2010 year-end debt-to-EBITDA ratio was 4.0 times.

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